The Impact of Oil-Related Income on the Equilibrium Real Exchange Rate in Syria /

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Bibliographic Details
Author / Creator:	Dridi, Jemma.
Imprint:	Washington, D.C. : International Monetary Fund, 2008. ©2008
Description:	1 online resource (30 pages)
Language:	English
Series:	IMF Working Papers, 2227-8885 ; Working Paper No. 08/196 IMF Working Papers ; Working Paper no. 08/196.
Subject:	Petroleum industry and trade -- Syria -- Econometric models. National income -- Syria -- Econometric models. Foreign exchange rates -- Syria -- Econometric models. Foreign exchange rates -- Econometric models. National income -- Econometric models. Petroleum industry and trade -- Econometric models. Syria.
Format:	E-Resource Book
URL for this record:	http://pi.lib.uchicago.edu/1001/cat/bib/12502277

Hidden Bibliographic Details
Other uniform titles:	IMF eLibrary.
Other authors / contributors:	Hasan, Maher. Dridi, Jemma. International Monetary Fund.
ISBN:	1451915071 9781451915075 9781451870541 145187054X 9781451915075
Notes:	Available in PDF, ePUB, and Mobi formats on the Internet.
Summary:	This paper examines the impact of oil-related income, among other fundamentals, on the equilibrium real effective exchange rate (ERER) in Syria. After reviewing the evolution of the Syrian multiple exchange rate regime since 1960 and assessing alternative measures for the exchange rate, the paper analyzes the impact of oil-related income on the ERER in the context of a behavioral equilibrium exchange rate model. The analysis concludes that ERER appreciates with higher oil-related income, productivity and net foreign assets, but, at odds with the conventional wisdom, depreciates with higher government expenditures given that an increase in expenditures usually translates into higher imports and weaker current account position. In light of the projected real shocks associated with the depletion of oil and the change in other fundamentals in the context of the ongoing transition to a market economy, a more flexible regime would serve Syria better in the future.
Standard no.:	10.5089/9781451915075.001

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